The European currency slowed its growth, but remains in an upward trend. The growth of the pair largely contributes to the drop in confidence in the US currency due to the negative fundamental releases, which do not allow the Fed to continue curtailing the stimulus program. In this situation, the European currency has a chance to go upwards, which is happening in the last few months.
In the middle of this week there will be a series of data that may put pressure on the euro: an interest rate decision, which is likely to remain at the previous depressing level, and releases for GDP.
In the medium term, the pair will continue to trade in the uptrend, but a significant downward correction should be expected, when the traders will close their long positions. Historical statistics indicate a decrease in for the pair EUR/USD in the summer, which means that in the pair might stay within the range of 1.1200-1.1300. Technical indicators confirm the forecast for growth in the medium term: the of long positions of indicator remains at a high level, and the are directed upwards.
Support levels: 1.1225, 1.1200, 1.1100, 1.1050, 1.1000, 1.0950, 1.0880, 1.0710.
Resistance levels: 1.1350, 1.1370, 1.1470, 1.1500, 1.1600.
Long positions can be opened at the current level, and pending buy orders can be placed at the levels of 1.1200 and 1.1155 with the targets at 1.1370, 1.1470. Stop-loss can be set at 1.1110.
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